Transcript Coles Energy Efficiency Initiatives
Retailers Perspective on Carbon Tax
Holly Angell Head of Energy & Sustainability
Agenda
• Quick background on Coles • Commercial Sustainability • Carbon Landscape • Energy Efficiency investments • What’s next?
• Recycling & Packaging Focus • Questions
Some facts about Coles
• • • Over 2,200 stores 102,000 team members 18 million customers each week • • • Coles Supermarkets – 744 stores across Australia Coles Liquor – 794 Liquorland, 1 st Choice & Vintage Cellars stores – 94 hotels (76 in Queensland) Coles Express – 625 convenience stores
Coles was going backwards in 2008
• Not price competitive • Poor quality fresh offer • Not focused on customer needs • Bureaucratic culture • Years of under investment • Not a good corporate citizen
Value Efficiency Fresh Service Range Culture Store Formats Capability Infrastructure
Our Circle for Success
Better Value
Coles Brand Positioning
Fit for purpose As good as leading brand Finest – As good as specialist brands
Working Smarter Stores
• • Coles carbon emissions in decline since 2009 despite 11 % sales growth FY11 Greenhouse Gas emissions – 2,523,808 Tonnes CO 2e ( Source: 2011 Wesfarmers Sustainability Report)
Coles Energy Consumption
Where Supermarkets use Energy BOH 1% Prep areas & Ovens 8% Fridge and Coldrooms 60% Lighting 15% POS/Checkouts 1% HVAC 15%
Serious about our Energy Costs and Efficiency
• Coles has looked at the energy efficiency of refrigeration and lighting systems for over 15 years • Increasing energy costs (mainly driven by Network cost increases) have ramped up our energy efficiency CAPEX expenditure in the last few years • The impending Carbon tax has further ramped up our energy efficiency program • Energy Efficiency is a business decision competing for CAPEX and OPEX along with all other parts of the business.
Coles Energy Efficiency Initiatives
Refrigeration and Air-conditioning • • • • Refrigeration re-commissioning Manual Nightblinds Anti-condensate controls for glass door freezers HVAC re-commissioning & VSD’s on supply air fans.
Coles Energy Efficiency Initiatives
Lighting • • • Lighting controls linked to time schedules for non-trading levels and linked to security alarm on store closure LED light fittings to upright freezer cases and refrigeration cases Review of lighting effectiveness – Are we being deliberate enough with our light?
Coles Energy Efficiency Initiatives
Coles Energy Efficiency Initiatives
Energy Efficiency in New Store Design • First Australian supermarket retailer to develop a Greenstar rating tool with Green Building Australia • New energy reporting tools: “If you can’t measure it you can’t manage it!”
Coles Energy Efficiency Initiatives
Voltage Optimisation (or Voltage Power Optimisation) • • • • • • First major user of the technology on scale in Australia Used extensively in UK, Europe and Japan Trialled two major suppliers of the technology before deciding on one for roll-out Advantage; one technology that affects the main meter supply/whole bill rather than components of the supermarket energy use Site voltage logging essential to ensure your site and equipment is suitable to get the payback from VO Be aware as not all VO units the same
• • • •
Energy Efficiency Next Steps
Further investment in the Energy Efficiency for FY13 Team member engagement at store level Continue to leverage the partnership with CITY FM to drive energy savings Using reporting systems for internal reporting requirements; Zone Finance Managers, Store managers, Regional and Zone Managers • Looking at renewable energy; but remember for the foreseeable future: “Energy Efficiency is the name of the game”
Recycling Plastic Bags
• • Supermarket partner with Landcare to donate 5 cents per green bag sold to more than 1,300 school gardens First Australian retailer to trial recycling of plastic packaging in Victoria and donate recycled material as furniture to schools
Reducing Packaging Waste
• • • Coles Spring Water now up to 40 per cent lighter across three product sizes - will save 187,000 kgs of plastic over a year due to new bottling process – Bronze award winner in the Sustainability Category of the 2010 Australian Packaging Awards Coles brand products now being assessed against Sustainable Packaging Guidelines A new database will help our product technologists address poor packaging and launch new products that meet the packaging guidelines
Stopping Food Waste
• • • Foodbank & SecondBite are our key food donation partners First supermarket to donate more than 1 million kilos of packaged food products in a year to Foodbank 2.5 million kgs of fresh food to be rescued and donated to SecondBite over next two years, providing 5 million meals
Thank you